There's No Sign Of A Bottom Yet

Traders are still mulling the implications of yesterday's sell-off. According to Lowry, the oldest technical analysis service, since September:

--There have been six 90 percent upside days (where 90 percent of the volume went to stocks on the upside)

--There has been no follow-through: each of those days has been followed by 90% downside days.

This is not an encouraging sign. One of the patterns for a market bottom is that higher prices (like you get on a 90 percent upside day) are followed by higher volume, higher demand, and higher prices.

That is not happening. We get a move up, like last week, then massive selling into it.

What does this mean? Lowry said it best: "Sentiment continues to see rallies as opportunities for selling rather than as harbingers of further gains."

We're not even getting help from insider buying. According to TrimTabs, insider buying is the lowest since August. What does this mean? It means insiders think it is too early to buy.